SHANGHAI, May 15 (SMM) – SHFE 1507 lead dropped in response to falling LME lead. The contract opened at RMB 13,480/mt Thursday night and then dived to RMB 13,300/mt, to end down RMB 165/mt. SHFE 1507 lead hovered around RMB 13,350/mt on Friday and finished at RMB 13,360/mt, down RMB 125/mt, off 0.93%. Trading volumes were up 1,222 to 7,082 lots whereas positions dropped 210 to 14,858.
In spot market, Tongguan, Nanfang and Hengbang brands were offered RMB 450-500/mt premiums over SHFE 1507 lead at RMB 13,800-13,850/mt. Honglu brand traded RMB 100/mt higher than SHFE 1506 lead contract price. Lead smelters held goods back and downstream producers refused to purchase at highs. Lead smelters remained reluctant to sell with branded lead quoting RMB 13,750-13,800/mt in Henan, versus RMB 13,400/mt in Guangdong.